Finance
Romania seeks judicial pension reform again after first try thwarted
Published by Global Banking and Finance Review
Posted on December 2, 2025
2 min readLast updated: January 20, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on December 2, 2025
2 min readLast updated: January 20, 2026
Romania's government seeks to reform judicial pensions after a court setback, crucial for EU funds. The bill faces opposition and potential legal challenges.
BUCHAREST, Dec 2 (Reuters) - Romania's government sought fast-track parliamentary approval on Tuesday for a bill raising the retirement age for judges and prosecutors and capping their pensions after the top court struck down its first attempt.
A second failure to pass the bill could weaken the fragile four-party ruling coalition which took power five months ago and wants to enact judicial pension reforms as a requirement for Romania to access EU recovery and resilience funds.
The government is facing strikes and strong opposition to spending cuts as it tries to lower the EU's highest budget deficit and keep Romania on the last rung of investment grade.
In October, the Constitutional Court narrowly rejected a move to raise retirement in the judiciary to 65 from around 50 at present, staggered over 10 years, and cap pensions at 70% of final salary.
Judges and prosecutors have monthly pensions of up to 5,000 euros ($5,831) versus the Romanian average of 600 euros.
On Tuesday, the government asked parliament to approve the law again, with the retirement age set to rise over 15 years.
The bill includes a note from the magistrates' top regulatory body which had been missing the first time and was a technical reason for the top court to dismiss the changes.
Fast-tracking bills in parliament means the measures can be approved without lengthy debate, though the opposition can file no-confidence motions within three days.
The government would be widely expected to survive any potential no-confidence vote, but if approved, the bill will likely be challenged at the top court again.
Romania's Constitutional Court has a track record of striking down moves to cut pensions.
(Reporting by Luiza Ilie; Editing by Andrew Cawthorne)
A pension is a regular payment made during a person's retirement from an investment fund that they contributed to during their working life.
Retirement age is the age at which a person is eligible to retire and receive pension benefits, often set by law or policy.
Pension caps are limits set on the amount of money that can be received as a pension, often based on a percentage of the final salary.
A fast-track legislative process allows a bill to be approved more quickly than usual, often bypassing lengthy debates and procedures.
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